Hirose Electric Co., Ltd. · TSE:6806
Hirose Electric — Q3 FY2020 Earnings Presentation
22 slides from Hirose Electric's earnings presentation, Feb 3, 2021
Slide 1: Business Results for the Third Quarter of FY2020
Hirose Electric Business Results for the Third Quarter of FY2020 Business Results for the Third Quarter of FY2020 February 3, 2021 Hirose Electric Co., Ltd. 〔6806〕
Slide 2: Cautionary Statement
Cautionary Statement In this material, there are descriptions based on current estimation by Hirose Electric. Hirose cautions you that a number of important risks, uncertainties and others could cause actual results to differ materially from those discussed in the *forward-looking statements. Thank
Slide 3: Summary of the business results (FY2020.3Q)
HS Summary of the business results (FY2020.3Q From April, 2020 to December, 2020) @ Inthe third quarter of FY2020, the sales mainly for automotive and smartphone market recovered and grew, and the orders and sales of 3Q reached the highest-ever level as quarter basis. As a result, the sales of 3Q cu
Slide 4: Changes in sales and operating profit (FY2019.1Q-FY2020.3Q)
HS Changes in sales and operating profit (FY2019.1Q-FY2020.3Q / Consolidated basis) (Yen in hundred millions) Ml—Sales Operating profit -O-Operating profit ratio 374.4 19.1Q 19.2Q 19.3Q 19.4Q 20.1Q 20.2Q 20.3Q
Slide 5: Business Results for FY2020.3Q
Business Results for FY2020.3Q Increase Increase FY2019.1Q‐3Q FY2020.1Q‐3Q / Decrease / Decrease Ratio (Yen in hundred millions) (FY ended Dec 31, 2019) (FY ended Dec 31, 2020) (YoY) (YoY) Sales 915.3 984.8 +69.5 7.6% COGS Ratio 57.2% 57.5% +0.3% SGA Ratio 24.9% 22.5% ‐2.4% Operating Profit 162.1 21
Slide 6: FY2020 3Q Major Changes
FY2020 3Q Major Changes HS Sales 69.5 hundred million yen Increased (915.3 > 984.8) (Yen in hundred millions) Non consolidated Hirose: +49.1 Subsidiaries: +20.4 COGS Ratio 0.3pt Deteriorated (57.2% > 57.5%) Depreciation Ratio: 10.2% > 10.8% Labor-cost Ratio: 6.8% > 7.0% SGA Ratio 2.4pt Improved (24.
Slide 7: FY2020.3Q YoY Variation Analysis
FY2020.3Q YoY Variation Analysis (Yen in hundred millions) Operating Earnings before Sales Profit (%) income tax (%) FY2019.1Q‐3Q Actual 915.3 162.1 17.7% 169.2 18.5% Exchange rate ‐9.9 ‐8.0 ‐16.7 Depreciation cost increase ‐6.0 ‐6.0 Labor cost increase ‐3.7 ‐3.7 Increase in freightage and packing e
Slide 8: Changes in operating profit excluding temporary factors
HS Changes in operating profit excluding temporary factors (FY2019.1Q-FY2020.3Q) (Yen in hundred millions) Operating profit -O-Operating profit ratio 83.5 70.0 62.0 56.8 45.0 44.7 44.0 22.3% 20.8% 19.4% 18.2% 15.9% 14.8% 16.1% 19.1Q 19.2Q 19.3Q 19.4Q 20.1Q 20.2Q 20.3Q (Yen in hundred millions) Opera
Slide 9: Consolidated Balance Sheet
Consolidated Balance Sheet HS sjassy Account **" Cash and cash equivalents Trade and other receivables Inventories Other financial assets Tangible fixed assets Right-of-use asset Others Total Assets Mar 31, 2020 505.6 304.4 145.1 1,706.8 615.4 44.8 104.3 3,426.4 Dec 31, 2020 509.2 375.0 155.6 1,765.
Slide 10: Consolidated Balance Sheet
Consolidated Balance Sheet HS Account Payables and other debt : Lease liabilities Income Taxes Payable saniqer Others : Total (Yen in hundred millions) Increase / Remark Decrease Mar 31, 2020 Dec 31, 2020 167.5 44.9 29.6 differed tax liabilities 123.0 365.0 Capital stock and wn: i Y: Capital surplus
Slide 11: Changes in Capital Investment and Depreciation
HS Changes in Capital Investment and Depreciation "Capital Investment M™iDepreciation (Yen in hundred millions) -O-Capital Investment Ratio -O-Depreciation Ratio (%) 186 168 (160) | 155 140° 1 Primm iret Qo nnn nn FY2017 FY2018 FY2019 FY2020 Forecast FY2020 1Q-3Q 11 (*Excluded: Investment in land, b
Slide 12: Overseas production and sales ratio
Overseas production and sales ratio 71% 71% 72% 74% ° o— —o- 469 49% 43% 42% ” ~O- Overseas Sales Ratio -~O- Overseas Production Ratio FY2016 FY2017 FY2018 FY2019 FY2020. 10Q-3Q
Slide 13: Sales by Application_General Industrial
HS Sales by Application_General Industrial (Yen in hundred millions) FY2020.1Q-3Q/ 198 97 295 H 3Q Sales 179 91 270 +9% @ FY2020.1Q-3Q Composition ratio @ Changes in quarterly sales 103 103 2019.1Q 2019.2Q 2019.3Q 2019.4Q 2020.1Q 2020.2Q 2020.3Q @ The overall market has been recovering gradually bec
Slide 14: Sales by Application_Smartphone
HS Sales by Application_Smartphone (Yen in hundred millions) FY2020.1Q-3Q/ Sales 153 75 228 146 100 246 +8% @ FY2020.1Q-3Q Composition ratio @ Changes in quarterly sales 100 35 89 75 68 72 57 26% 2019.1Q 2019.2Q 2019.3Q 2019.4Q 2020.1Q 2020.2Q 2020.3Q @ The sales keep at high level due to performanc
Slide 15: Sales by Application_Automotive/Mobility-related
HS Sales by Application_Automotive/Mobility-related (Yen in hundred millions) FY2020.1Q-3Q / 91 75 166 H 3Q Sales 116 61 177 -6% @ FY2020.1Q-3Q Composition ratio @ Changes in quarterly sales 75 60 61 af 54 52 39 2019.1Q 2019.2Q 2019.3Q 2019.4Q 2020.1Q 2020.2Q 2020.3Q @ The market has been recovering
Slide 16: Sales by Application_Consumer/Mobile Equipment
HS Sales by Application_Consumer/Mobile Equipment (Yen in hundred millions) 1 1Q-3Q 1H 3Q 1Q-3Q eae 123 > FY2020.1Q-3Q / FY2019.1Q-3Q +32% H 3Q Sales 97 51 148 @ FY2020.1Q-3Q Composition ratio @ Changes in quarterly sales 72-72 52. 51 51 45 45 2019.1Q 2019.2Q 2019.3Q 2019.4Q 2020.1Q 2020.2Q 2020.3Q
Slide 17: Sales by Application_Telecommunications infrastructure / OA equipment
lz Sales by Application_Telecommunications infrastructure equipment / OA equipment (office Machinery) FY2019 FY2020 FY2020.10-3Q / ie - oo 10-3Q 1 ¢y2019.10-30 Telecommunications (Yen in hundred millions) infrastructure 24 13 37 -8% OA i t (office Machinery 13 8 21 10 5 15 -29% @ FY2020.1Q-3Q Compos
Slide 18: Annual sales forecast by applications [Updated]
Annual sales forecast by applications [Updated] HS (Yen in hundred millions) 375 295 204 220 FY20 FY19 = Forecast FY20 FY19 = Forecast + FY20 FY19 Forecast Fy20 FY19 Forecast Actual AsofNov Forecast Actual AsofNov Forecast Actual AsofNov forecast Actual AsofNov Forecast General Industrial Smartphone
Slide 19: Summary of the revision of business forecast for the year ending March, 2021
HS Summary of the revision of business forecast for the year ending March, 2021 Following the Annual sales forecast [Updated], we revise up our full year business forecast (Yen in hundred millions) ® Forecast ® Updated Forecast of! damount as of Nov, 2020 as of February, 2021 Sales 1,200 1,300 +100
Slide 20: Business Forecast for the Year Ending March 31, 2021 (Consolidated)
Business Forecast for the Year Ending March 31, 2021 (Consolidated) The business for consumer, general industrial and automotive is expected to exceed our initial estimates, and revise the forecast published in Nov, 2020. 3Q cumulative total For the Year Over the FY2019 (FY ended March 31, FY2020 (F
Slide 21: Appendix
Appendix
Slide 22: Sales by Applications round number (quarterly basis)
HS Sales by Applications round number (quarterly basis) (Yen in hundred millions) FY2019 FY2020 FY2020 10-3Q Composition ratio by 1Q 2Q 3Q 4Q application General Industrial 86 93 91 103 Smartphone 68 85 75 72 Automotive / Mobility- related Consumer / Mobile Device 45 52 51 45 Telecommunications Infr